“Whilst remaining an important part of the limited company lending package, demonstrating a borrower’s commitment to a loan, it has never been more timely to ensure a fair deal on security between lender and borrower, with a large majority of the Shawbrook property division’s borrowers now being limited companies.

“Building transparent and mutually beneficial partnerships with professional investors is in Shawbrook’s DNA and our new approach to personal guarantees builds on the success of our ‘Customer Appetite Statement’, which has enabled us to support the property funding journey.”

Shawbrook said by assessing the risk profile of different transactions, more flexibility can be offered to landlords, ensuring a fair deal between lender and borrower.